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abashford
abashford
12/5/2012 | 3:31:54 PM
re: Nortel to Sell Carrier Ethernet, Optical Biz
>boo..hoo... waaaaaaaaaaaaah.
>(the same could be said of PBT and it's lack of technical merit)

I will assume from your mature response that you must be of the VPLS/MPLS camp.

If that technology is so infallible, I don't understand why so many of the VPLS/MPLS players are now taking advantage of PBB to scale their network edge. I guess there was no problem in the first place?
freetoair
freetoair
12/5/2012 | 3:31:52 PM
re: Nortel to Sell Carrier Ethernet, Optical Biz
K28 makes a good point...

But even broader is the management of the "communication" in the press release - yes they are calling the Qtr down - but the wording in the PR essentially guaranteed the stock would tank (from its already pitiful level) and put a fatal bullet into the company???

Zafirovski has failed and with this poor handling of his own failure - he should go ASAP (although I advocated his departure long ago).

I have no affiliation with the company nor do I own stock - but it just amazes me....
chechaco
chechaco
12/5/2012 | 3:31:52 PM
re: Nortel to Sell Carrier Ethernet, Optical Biz
"... I don't understand why so many of the VPLS/MPLS players are now taking advantage of PBB to scale their network edge."
Please keep "apples" and "oranges" separate. PBB is clearly p2p solution and can be compared with PWE3. The VPLS/H-VPLS so far has no alternative even though it scales badly, has issues with redundancy and so on. PBB might be attractive alternative to PWE3 if and when you have Ethernet UNIs and no legacy circuits to support.
jepovic
jepovic
12/5/2012 | 3:31:51 PM
re: Nortel to Sell Carrier Ethernet, Optical Biz
They should've sold the entire company while they could. What's the point of selling it piece by piece like this? Customers get scared and choose other suppliers, thus lowering the value even more. Is there anybody who believes the remains of Nortel will be able to succeed on its own? Essentially a North-American PBX business.

I would've done it the old-fashioned way: Talk to all the prospective buyers, lower the price until one of them accepts it. THEN I would announce the deal. It hurts, but it's better long-term.

Look at Lucent. Sure they are now dragging the once prosperous Alcatel into the mud, but from a ahreholder perspective it was a great idea to sell while it was possible.
mtb826
mtb826
12/5/2012 | 3:31:50 PM
re: Nortel to Sell Carrier Ethernet, Optical Biz
Abashford,
Get a clue, PBB is not PBB-TE and none of the key vendors in the ME space are supporting PBB-TE.

stephencooke
stephencooke
12/5/2012 | 3:31:50 PM
re: Nortel to Sell Carrier Ethernet, Optical Biz
Hi,

My connections to Nortel include an interview for the CTO position a few years ago when Mike Z was first brought on board (he had already decided that he didn't want an x-Nortel person for the position) and about 10 years in the optical development and sales organizations. I have many friends who are still there (a lot fewer than years ago).

The way the accountants have destroyed this formerly prestigious company makes me sick. There is absolutely no medium-long term thinking there anymore. Suggestions of new ideas in this timeframe could make one a layoff candidate... quickly.

In a downward, competitive market you do NOT want an accountant running the company. This leads to short-term cost-cutting and layoffs that slowly kill the company. The innovation that NEEDS to occur for corporate health is simply stifled and/or punished.

GoodBye Nortel, it was fun while it lasted. I wish all the MEN employees well.

Steve.
GemfireCanada
GemfireCanada
12/5/2012 | 3:31:49 PM
re: Nortel to Sell Carrier Ethernet, Optical Biz
This would be a great buy for Huawei in my opinion and give them instant legitimacy in the NA market. Also given their buying power they could substantially reduce costs very quickly.
davallan
davallan
12/5/2012 | 3:31:49 PM
re: Nortel to Sell Carrier Ethernet, Optical Biz
mtb826.....

Would you care to elucidate the differences between PBB and PBB-TE? BTW This is not a trick question....

chechaco...

Why do you think PBB-TE is not suited to legacy and limited to p2p for Ethernet UNI only?, Once packetized, stuff does not tend to care about the wrapper....

I get the feeling you've read propaganda and not gone to primary sources....Facts please!

D
rjmcmahon
rjmcmahon
12/5/2012 | 3:31:47 PM
re: Nortel to Sell Carrier Ethernet, Optical Biz
re: "The regulations preventing competition have killed the teleco market."

With all due respect, when one turns towards blaming in order to cope with perceived failures it's time to look deeper and make sure our cognitions reflect reality.

In this case here are some other perceptions which I believe to be accurate.

o These networks are natural monopolies
o Natural monopolies are an economic condition, i.e. they are not created by government
o Best attempts at regulating into existence competition under these conditions, e.g. the 96 Telco Act and ILEC competition, have proven futile.
o Regulatory capture is par for the course in utilities
o Market failure combined with regulatory capture has occurred for US broadband networks
o Competition as a solution is based on belief rather than making observations of what has worked in the past under similar conditions.

So yes, the regulators have failed. But so has the misguided belief in markets and competition. The pot calling the kettle black and vice-versa isn't going to stimulate investment into natural monopolies. For that we'll need to resolve the false dualism.
rjs
rjs
12/5/2012 | 3:31:47 PM
re: Nortel to Sell Carrier Ethernet, Optical Biz
You NAILED it Materialgirl.

The regulations preventing competition have
killed the teleco market.

The Cable MSO and teleco 3 have consistently insisted on tying-in bit carriers with content and services. Commoditization of bit carriage (also called "dumb pipes") is what makes the network useful and that is what these oligopolies will fight with their last breath.

No hope for the NA teleco market. It is dead.
It reminds me of the Soviet Union.

-RJS
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